Taking US-India Annual Trade To $500 Billion Not A Distant Dream, Says Arun Jaitley

The goal of increasing the annual trade between the US and India to $500 billion is not a "distant dream" given the opportunities that New Delhi offers American companies, particularly in aviation and defence sectors, Finance Minister Arun Jaitley has said.

Jaitley said the relationship between India and the US had evolved into a very strong partnership in the last few years and goals like 'Mission-500' outline and re-emphasise the objective of the partnership. "If one sees the opportunities that the defence and aviation sector in itself offers, increasing annual bilateral trade to $500 billion is not a distant dream," he told a Washington audience yesterday when asked if the $500 billion bilateral trade target was achievable.

According to the United States Trade Representative (USTR) figures, India was US' ninth largest trading partner with the total two-way trade of $67.7 billion last year. It is loaded in favour of India, which runs a surplus of $24 billion.

Jaitley said a lot of US companies had made investments in India and now a lot of Indian companies feel comfortable in making investments in America.

"It is an exercise which requires to be taken forward," he said at an event organised by the Federation of Indian Chambers of Commerce and Industries held at the headquarters of the International Monetary Fund.

Jaitley said one of the suggestions which was mooted in the meeting with US Commerce Secretary Wilbur Ross was that the two countries must get back governmental participation in private sector conferences.

For the first a different concept is taking place in November when a large number of American businesses are travelling to India for the Global Entrepreneurship (GES), he said, adding that the exercise will probably be repeated in the US next year.

"This would provide a great opportunity for Indian businesses here," Jaitley said.

He said over the next decade or so India's aviation sector is all set for a huge expansion.

"US companies are a natural investor in that particular sector," he said. (PTI)